Bank of Maha gets nod to raise Rs 394 cr by equity shares

Mumbai : Bank of Maharashtra today said it has received shareholders’ approval to raise Rs 394 crore by issuing 10.51 crore equity shares on preferential basis to the government.

“We have obtained the approval of shareholders for raising equity capital of the bank through preferential issue of 10,51,50,787 equity shares of the face value of Rs 10 each at an issue price of Rs 33.47 per share, including premium of Rs 27.47 per share to the government aggregating to Rs 394 crore,” the bank said in a statement.

The approval was given at the extraordinary general meeting of the shareholders of the bank today.

Post this issuance, the government’s holding in the bank would increase to 81.61 per cent from the existing 79.80 per cent.

Last week, eight public sector banks, including SBI, Punjab National Bank and Bank of Baroda, had allotted equity shares on preferential basis to the government against capital infusion of Rs 13,955 crore.

Other banks that received capital included Bank of India, Canara Bank, Dena Bank, Corporation Bank and Andhra Bank.